Digby owns 240 shares of Quantex with a market value of $5,940. Quantex has just announced a 3 for 2 stock split. Assuming the value of Digby's holdings stays the same until the split is recorded, what would the price of Quantex be on the day of record? $16.50 or $37.13

Digby owns 240 shares of Quantex with a market value of $5,940. Quantex has just announced a 3 for 2 stock split. Assuming the value of Digby's holdings stays the same until the split is recorded, what would the price of Quantex be on the day of record? $16.50 or $37.13

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter15: Contributed Capital

Section: Chapter Questions

Problem 12RE: Assume that Lily Corporation has outstanding 1,500 shares of 150 par callable preferred stock that...

See similar textbooks

Similar questions

You purchased some shares in FlyingDutchman.com on 26 August 2022, at price $54.86. On 28 January 2023 and 22 July 2023, FlyingDutchman.com paid dividends of $1.69 and $1.93, respectively. The price of the shares on 28 January 2023 was $56.73, while on 22 July 2023, it was $58.76. Finally, on 24 August 2023, you sold the shares for $60.05. What was your holding period return over the time you owned FlyingDutchman.com? 16.06% 15.67% 9.46% 14.89%
You purchased some shares in Flying Dutchman.com on 12 August 2022, at price $67.41. On 09 November 2022 and 03 February 2023, Flying Dutchman.com paid dividends of $2.85 and $1.08, respectively. The price of the shares on 09 November 2022 was $65.85, while on 03 February 2023, it was $66.79. Finally, on 22 April 2023, you sold the shares for $67.81. What was your holding period return over the time you owned Flying Dutchman.com?
An investor owns some stock in Harry's Pottery Inc. The stock recently underwent a 5-for-4 stock split. If the stock was trading at $47.57 per share just before the split, how much is each share most likely selling for after the split? If the investor owned 400 shares of the stock before the split, how many shares would she own afterward?
Suppose you own 2,000 common shares of Laurence Incorporated. The EPSis $10.00, the DPS is $3.00, and the stock sells for $80 per share. Laurenceannounces a 2-for-1 split. Immediately after the split, how many shareswill you have, what will the adjusted EPS and DPS be, and what would youexpect the stock price to be?
Kathy Snow wishes to purchase shares of Countdown Computing, Inc. The company's board of directors has declared a cash dividend of $0.80 to be paid to holders of record on Wednesday, May 12. a. What is the last day that Kathy can purchase the stock (trade date) and still receive the dividend? b. What day does this stock begin trading ex dividend? c. What change, if any, would you expect in the price per share when the stock begins trading on the ex dividend day? d. If Kathy held the stock for less than one quarter and then sold it for $39 per share, would she achieve a higher investment return by (1) buying the stock prior to the ex dividend date at $35 per share and collecting the $0.80 dividend or (2) buying it on the ex dividend date at $34.20 per share but not receiving the dividend?
In 2022, TheMaven Inc. (which owns and/or operates media properties like TheStreet.com and Sports Illustrated) changed its name to The Arena Group Holdings and announced a 1-for-23 reverse stock split. Its stock price was approximately $0.44 per share when the announcement was made. a. If an investor had 5,750 shares before the split, how many shares will the investor have after the split? Round your answer to the nearest whole number. shares post-split b. If the stock is trading for $0.38 immediately prior to the split, what is the expected price immediately after the split? Round your answer to the nearest cent. $ c. If the stock opens at $0.42 and closes at $10.00 per share on the day of the split, what is the one-day return on the stock? Round your answer to two decimal places. %
At what amount should the investment be recorded initially? 2. On April 15, 2021, Pepper purchased 15,000 shares of Atty Group for P150,000. The commission paid to the broker amounted to P8,500. Management made an irrevocable choice to subsequently measure the shares at FVOCI. At what amount should the investment be recorded initially?
On January 3, 2022 you purchased 275 shares of Bird House, Inc. at $61.38 per share. Since then, you have received the following dividends per share: $0.17 (January 17), $0.17 (April 16). $0.19 (July 18). $0.19 (October 17), $0.19 (January 20). The current price of the stock is $63.09. What is the Capital Gains (Loss) Yield in percent (%)? (recurring content question) 1.71% -2.71% 2.21% O 2.79% O 2.71%
Sapphire has 500,000 authorized shares of $2 par value common stock, with 110,000 shares issued and outstanding with a total current market value of $150,000. You are the owner of 12% of the stock. Which statement describes what happens when Sapphire executes a 3-for-1 forward stock split? You will own 36% of the company’s stock after the split. Your ownership is worth $450,000 after the split. You return your original shares to the company, and receive 39,600 new shares in exchange. You receive 39,600 additional shares of stock.
During 2021, Tom Sanchez purchased 200 shares of common stock issued by Tri State Manufacturing for $3400 including commission. Later in the same year, Tom sold the shares for $3800 after commission. Calculate the following. (Round all answers to two decimal places.) 1. Profit on this stock transaction: Parentheses 2. Percentage return on investment: % %4
Kathy Snow wishes to purchase shares of Countdown Computing, Inc. The company's board of directors has declared a cash dividend of $1.13 to be paid to holders of record on Wednesday, Sep. 21. a. What is the last day that Kathy can purchase the stock and still receive the dividend? b. What day does this stock begin trading ex dividend? c. What change, if any, would you expect in the price per share when the stock begins trading on the ex-dividend day? d. Kathy believes that she will be able to sell the stock for $46.92 in a few months. Tomorrow is the ex-dividend date, and the stock price now is $42.92. Is she better off buying the stock now so she can capture the dividend, or should she wait until tomorrow, miss the dividend, and buy the stock at a slightly lower price?
During 2021, Sam Harris purchased 50 shares of common stock issued by Atlanta Carpet Mills for $6800 including commission. Later In the same year, Sam sold the shares for $7200 after commission. Calculate the following. (Round all answers to two decimal places.) $1 1. Profit on this stock transaction: 2. Percentage return on investment: Parentheses S